Geveke nv has taken note of the article published in this morningÂ's issue of the FinanciÃ«le Telegraaf. The management of the company distances itself emphatically from various remarks in the article and is keen to repeat the expectations published in August.
Contrary to what is stated in the article, both the companyÂ's cash flow and its financial facilities are amply available in order to meet interest payments and other current commitments. In addition, the allegation that a new issue of shares recently fell through and that the balance sheet is not capable of supporting the debt position is pertinently incorrect.
The remainder of the Telegraaf article is based on information from GevekeÂ's half-year report, published in August this year. In accordance with the information in the August press release, Geveke states that the strategy has been significantly honed, which, among other things, will result in an improvement in the balance sheet ratios.
Geveke is therefore keen to repeat the expectation for 2002 issued in August:
â€œFor Geveke the second half of the year has traditionally been somewhat better than the first half. This applies to an increased extent to Cramoâ€™s contribution. It is expected that, in the months ahead and certainly in 2003, the measures taken on the basis of the strategic tightening in 2002 will lead to better results, even if market conditions remain unchanged. A substantial net income from ordinary operations (before amortisation of goodwill and any additional pension charges) is anticipated for 2002 as a whole, though it is expected to be substantially lower than that in 2001.â€